The slight drop in the ISM factory production index and the indifference of the marketsDeltafx Admin 10 January 2023
The ISM Manufacturing Index, also known as the Purchasing Managers Index (PMI), is a monthly indicator of U.S. economic activity based on a survey of purchasing managers at more than 300 manufacturing companies. This index is considered a key indicator of the health of the U.S. economy. The survey, officially called the ISM Business Manufacturing Report, is published by the Institute for Supply Management (ISM).
The ISM Manufacturing Index, or PMI, measures the change in the level of manufacturing activity across the U.S. economy on a monthly basis. This report is released on the first business day of each month. Therefore, it is one of the first indicators of economic activity that investors and traders track on a regular basis.
The ISM Manufacturing Index is a composite index in which new orders, production, employment, supplier deliveries and inventories are weighted equally. Each factor is seasonally adjusted.
The US ISM manufacturing PMI was released at 3:00 p.m. on January 4 and came in at 48.4, 0.1 below expectations. It should also be noted that the value of the previous period of this index was 49 units.
After the release of this news, there was no particular change in the markets.